Bitcoin (BTC) has now accumulated a 31% gain since the year started, as market conditions have improved significantly in the past couple of months.

The top crypto recently made a new all-time high after rising above $126,000. Net inflows to exchange-traded funds (ETFs) increased rapidly this month.

Data from Farside Investors shows that market participants have deposited $4.8 billion into these products in the first 8 days of ‘Uptober.’ This means an 8% increase in just a few days in the total assets that these funds manage.

Such an increase favors a bullish Bitcoin price prediction, as it means that buying pressure remains quite strong. Meanwhile, analysts agree that the Federal Reserve will execute a second 25-bps rate cut during its late October FOMC meeting.

Lower rates are favorable for cryptos, as investors will be more inclined to rotate their capital to riskier products to earn higher yields.

Market conditions as a whole are quite favorable, which makes a steeper drop highly unlikely. However, if the Federal Reserve backpedals on its decision to lower interest rates, that could result in a bearish move. The reason for this is that it would throw out of the window what is currently the market’s baseline scenario.

Investors’ sentiment has also picked up significantly, as reflected by the Fear and Greed Index. This benchmark has recovered from a recent low of 34 (Fear) to 58 (Neutral) at the time of writing. It also surpassed the 60 level just days ago as investors turned bullish after Bitcoin made a new all-time high.

Bitcoin Price Prediction: BTC Hovers Above $120K After All-Time High

The daily chart shows that the selling pressure increased once BTC hit $126,000. Trading volumes back then exceeded the daily average, emphasizing the relevance of this price level.

BTC has now been hovering above the $120K area, making this the key support to watch, both from a technical and psychological standpoint.

If the selling pressure increases in the next few days, we could see the token dropping to around $112,000 to its nearest trend line support. This will likely be an area of confluence with the 200-day exponential moving average (EMA).

The Relative Strength Index (RSI) recently climbed to overbought territory but has now been dropping toward the 14-moving average. Depending on what happens next, this momentum indicator could tell us where BTC may be heading next.

In this regard, a drop below the 14-day moving average could favor a bearish Bitcoin price prediction for the near term. Meanwhile, if BTC bounces off the $120K area in the next few days, the odds of a strong push toward $150,000 will be quite high.

As Bitcoin keeps climbing to new all-time highs, a layer-2 scaling solution called Bitcoin Hyper ($HYPER) is rapidly capturing the market’s attention. Its hot crypto presale has raised millions in a heartbeat, as this protocol solves Bitcoin’s long-standing hurdles.

Bitcoin Hyper ($HYPER) Raises $23M to Bring Smart Contracts and DeFi to BTC’s Blockchain

Bitcoin Hyper ($HYPER) is rewriting what’s possible with Bitcoin by introducing the network’s first true layer 2 chain.

Built to fix Bitcoin’s biggest problems — e.g. slow transactions, high fees, and lack of programmability — Bitcoin Hyper enables lightning-fast payments, lower transaction fees, and support for dApps and smart contracts.

The Hyper Bridge is designed to receive BTC tokens safely in a designated Bitcoin wallet and mint the corresponding amount on the Hyper L2 with near-instant finality. Through this solution, developers can finally build directly on Bitcoin without the usual limitations, opening the door for DeFi, NFTs, and more.

As a result, BTC holders will now be able to stake, lend, and earn yield on their assets like never before.

Early buyers can buy $HYPER at its presale price of $0.013085. This price will be raised progressively as the presale advances through its various stages. Holders will also be able to stake $HYPER. The current APY sits at 51%.

To buy $HYPER, simply head to the Bitcoin Hyper official website and connect your wallet. You can either swap USDT or SOL for this token or use a bank card to invest.